Keeping and producing export records

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1. Keeping reproductions instead of originals

The Export Administration Regulations (EAR) let a regulated person keep reproductions instead of original records, if every requirement for the reproduction system in paragraph (b) is met (15 CFR 762.5(a)). Any photographic, photostatic, micrographic, automated archival or other process may be used if it completely, accurately, legibly and durably reproduces the originals, on paper, microfilm or digital storage (15 CFR 762.5(b)).

2. The system requirements

The system must be able to reproduce all records on paper (15 CFR 762.5(b)(1)). It must record and reproduce all marks, information and other characteristics of the original, including both sides of paper documents, in legible form (15 CFR 762.5(b)(2)). Displayed on a viewer or monitor, or printed, records must show a high degree of legibility and readability (15 CFR 762.5(b)(3)).

The rule defines both terms. Legibility is the quality of a letter or numeral that lets an observer identify it positively and quickly to the exclusion of all others. Readability is the quality of a group of letters or numerals being recognized as complete words or numbers.

The system preserves the initial image, including both sides of paper documents, and records every change, who made it and when, in a way that cannot be altered once recorded (15 CFR 762.5(b)(4)). The regulated person must establish written procedures identifying the individuals responsible for the operation, use and maintenance of the system (15 CFR 762.5(b)(5)). It also sets written procedures for inspection and quality assurance and documents their implementation (15 CFR 762.5(b)(6)).

The system must be complete, or provide a way to correlate, identify and locate records of the same transaction kept elsewhere (15 CFR 762.5(b)(7)). The person records where, when, by whom and on what equipment records were entered (15 CFR 762.5(b)(8)). The Office of Export Enforcement, the Office of Antiboycott Compliance or another competent agency may ask for access. The person must then furnish at the examination site the records, the equipment and, if necessary, knowledgeable staff to locate, read and reproduce any record (15 CFR 762.5(b)(9)).

3. Digital and photographic systems

A system based on digital images must give access to any image in it (15 CFR 762.5(c)). For records of transactions, including those involving boycott requests or requirements, it must locate and reproduce all records of a transaction by any one of three criteria (15 CFR 762.5(c)(1)-(3)). They are the names of the parties, any country connected with the transaction, or a document reference number from any original document.

A system based on photographic, photostatic or miniature photographic processes needs a detailed index of all records, arranged to allow immediate location of any record (15 CFR 762.5(d)).

4. Five years from the latest event

All records the EAR require are kept for five years from the latest of several events (15 CFR 762.6(a)). One is the export of the item from the United States, or the provision of financing, transport or other services for end-users of proliferation concern (15 CFR 762.6(a)(1)). Another is any known reexport, in-country transfer, transshipment or diversion of the item (15 CFR 762.6(a)(2)).

A third is any other termination of the transaction, whether formally in writing or otherwise (15 CFR 762.6(a)(3)). For boycott-related records, one of the events is the date the person receives the boycott-related request or requirement (15 CFR 762.6(a)(4)).

5. When records may not be destroyed

If the Bureau of Industry and Security (BIS) or another agency makes a formal or informal request for records, they may not be destroyed or disposed of without that agency’s written authorization (15 CFR 762.6(b)). The prohibition applies to records about voluntary disclosures made to BIS under section 764.5 and to other records, even if they have been kept longer than the five-year period.

6. Producing records

Persons in the United States may be asked to produce books, records and other information that the EAR, a license, an order or an authorization requires them to keep (15 CFR 762.7(a)). They make them available for inspection and copying by an authorized BIS official, or another official BIS designates, at no charge to that official. The Office of Export Enforcement and the Office of Antiboycott Compliance encourage voluntary cooperation.

Where cooperation is not forthcoming, those offices may issue subpoenas requiring persons to appear and testify, or to produce books, records and other writings. If a person does not comply, the Department of Commerce may petition a district court to enforce the subpoena.

The duty reaches abroad (15 CFR 762.7(b)). Persons outside the United States who must keep records under the EAR, a license, an order or an authorization produce them or reproductions on request. Inspection and copying by an authorized BIS official is at no charge to that official (15 CFR 762.7(b)). BIS may designate any other U.S. official to exercise that authority. Which records must be kept is covered in what records exporters must keep.

7. Where the licensing rules add record duties

The licensing rules attach their own record duties to this part. Applicants keep the original or a copy of every support document issued for a license application (15 CFR 748.9(f)). Hong Kong import and export documents are kept and produced on request (15 CFR 748.13(b)). Every license must be kept by the licensee, whether used or unused and valid or expired, together with its supporting documents and the records of shipments made under it (15 CFR 750.7(j)).

A licensee whose license is revoked or suspended keeps the supporting documents and shipment records (15 CFR 750.8(b)). Where BIS issues a duplicate license for the Hong Kong Trade Department, the licensee keeps the original on file (15 CFR 750.9(b)). A transferee of a license certifies that the order documents will be kept and made available on request (15 CFR 750.10(b)(2)(vii)).

Key terms

Reproduction	A copy kept instead of an original, under strict system rules.
Legibility	The quality that lets each letter or numeral be identified quickly.
Readability	The quality that lets groups of characters be read as words or numbers.
Five-year period	The retention period, measured from the latest triggering event.
Subpoena	A demand to testify or produce records, enforceable in court.

Every statement above links to the document behind it. The full source list for this piece is on the sources page.

This page describes public United States government programs for general information. It is not legal, regulatory or procurement advice, and it does not address the facts of any particular case.

How Sentfore supports this

Records kept in order make audits and inquiries manageable. Sentfore works at the delivery end of defense programs in difficult environments, providing secure movement, protective security, facilities and life support. Requirements can be sent through the contact page.